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Question
when the demand for electricity peaks during the hottest days of summer, florida power and light company can generate more electricity by using more fuel and increasing the working hours of many of its employees. the company cannot, however, increase electric power production by building additional generating capacity. this means that the company is in the
long run.
intermediate run.
market run.
short run.
In economics, the short - run is a period where at least one factor of production (in this case, generating capacity) is fixed. The company can vary inputs like fuel and labor (working hours of employees) but cannot change the fixed factor (generating capacity). In the long - run, all factors of production are variable (so building additional capacity would be possible). There is no standard "intermediate run" or "market run" in the basic economic analysis of production time - frames.
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short run.